Study: Nashville, Memphis among U.S. cities where $250K goes the furthest
“Thanks to no state income tax in Tennessee, a $250,000 salary is taxed at a rate of just 29.77%.”
NASHVILLE, Tenn. (WSMV) - A new study from SmartAsset has found where in the United States $250,000 can go the furthest and two Tennessee cities were ranked in the top 15.
For the Volunteer State, Memphis was ranked No. 1 in the entire country for how far $250K can go and Nashville wound up ranked at No. 14.
“People earning $250,000 per year in Memphis can look forward to an after-tax income of approximately $175,558. Thanks to no state income tax in Tennessee, a $250,000 salary is taxed at a rate of just 29.77%,” the study said. “Comparatively, those with a $100,000 salary enjoy a slightly lower tax rate of 25.48%. After factoring in the city’s cost of living, a $250,000 salary holds an estimated value of $203,663.57– highest across the 76 cities we studied.”
SmartAsset adds that only seven percent of households in the U.S. earn $250K per year. How far that income goes depends on the tax environment and the cost of living in the area.
“To gauge how much $250,000 is actually worth in different parts of the country, SmartAsset compared the after-tax income in 76 of the largest U.S. cities and then adjusted those figures for the cost of living in each place,” the study explained.
For a full look at the study, click here.
Copyright 2023 WSMV. All rights reserved.